Business, Legal & Accounting Glossary
A provision in a contract stating that some or all of the terms of the contract will be altered or voided by the occurrence of a specific event. For example, a contingency in a contract for the purchase of a house might state that if the buyer does not approve the inspection report of the physical condition of the property, the buyer does not have to complete the purchase.
There was a contingency that prevented me from being able to complete the sale of the house to the couple.
Peter’s parents promised to buy him a new car as long as one specific contingency — that he gets straight A’s in school — was satisfactorily met.
My company agreed to sell a piece of property to the startup business but included a contingency in the contract that the buyer had to secure the full purchase price before we would sell.
build into
contingent convertibles (CoCos)
special conditions
disclosable event
subject to clause
graduated lease
contingency order
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This glossary post was last updated: 21st November, 2021 | 0 Views.